BP, AKR sign agreement for retail joint venture

International energy company BP and IDX-listed PT AKR Corporindo Tbk (AKR), a provider of supply chain and logistics solutions for petroleum and chemicals, announced Wednesday that they have agreed a joint venture to develop a fuels retail business in Indonesia.

BP said in a statement the joint venture will form a company, PT Aneka Petroindo Raya, that will operate under the name of BP AKR Fuels Retail. Under the exclusive agreement, the parties intend to develop and offer a differentiated consumer proposition leveraging BP?s and AKR?s capabilities and expertise across Indonesia?s growing retail market. The joint venture expects to open its first retail site in Indonesia in 2018.

The joint venture agreement was signed in London on April 5, 2017 by Richard Harding, Commercial Development Vice-President, BP Downstream, and Haryanto Adikoesemo, President Director of AKR.

BP Downstream Chief Executive Officer Tufan Erginbilgic commented: ?BP?s retail strategy is focused on delivering a strong, differentiated offer built around top-quality fuels, lubricants and convenience for customers in growing markets worldwide. We are delighted to be working with AKR to help meet Indonesia?s growing demand for fuels and provide superior convenience offers.?

Haryanto Adikoesoemo said: ?Indonesia offers tremendous opportunities for retail distribution of gasoline and other products with growing demand and deregulation of the sector. We are happy to partner with BP to develop a retail network, which can leverage AKR?s infrastructure across the country and track record in fuels business. The product offering and world class service offered by the joint venture will bring good value to Indonesian consumers.?

Editing by Reiner Simanjuntak